Emgold and Rio Tinto PLC (Kennecott Exploration) Sign Earn-In with Option to Joint Venture Agreement for the New York Canyon Property, NV

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[{"type":"text","content":"Emgold and Rio Tinto PLC (Kennecott Exploration) Sign Earn-In with Option to Joint Venture Agreement for the New York Canyon Property, NVVANCOUVER, BC / ACCESSWIRE / February 11, 2020 / Emgold Mining Corporation (TSXV:EMR) (OTC:EGMCF) (FRA:EMLM) (\"Emgold\" or the \"Company\") announces it has signed an Earn-In with Option to Joint Venture Agreement (the \"Agreement\") with Kennecott Exploration Company (\"Kennecott\"), a subsidiary of Rio Tinto PLC (RIO:L) (RIO.AX) (RIO.N), for the New York Canyon Property, Nevada (the \"Property\"). The Property hosts both copper oxide skarn and copper-molybdenum-gold-silver sulfide porphyry mineralization in three known targets - Longshot Ridge, Copper Queen, and Champion. Kennecott can earn up to a 75% interest in the Property by completing US$22.5 million in exploration expenditures.Key points of the Agreement include:Kennecott will have an option (the \"First Option\") to acquire a 55% undivided interest in the Property by incurring US$5.0 million in expenditures over a 5 year period, of which US$1.0 million is a committed expenditure that must be completed prior to the 18 month anniversary of the Agreement. Kennecott will have a second option (the \"Second Option\") to earn an additional 10% undivided interest in the Property (for a total of 65%) by incurring an additional US$7.5 million in expenditures over a 3 years period. Kennecott will have a third option (the \"Third Option\") to earn an additional 10% undivided interest in the Property (for a total of 75%) by incurring an additional US$10 million in expenditures over a three year period. Any expenditure in excess of an option expenditure requirement in a given time period will be credited against subsequent option expenditure requirements. Kennecott may, at any time or from time to time, accelerate its satisfaction of the First, Second, or Third Option by paying Emgold money in lieu of incurring expenditures. While earning in, Kennecott will have the right to make exploration and development decisions. Kennecott must maintain the Property in good standing during the option period(s), including payment of BLM and County maintenance fees and any underlying property payments due to Searchlight Resource Corporation (TSXV: SCLT) (\"Searchlight\"). Emgold currently has an underlying agreement to acquire a 100 percent interest in the New ...

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